Description

Quarterly Beverage Tracker First Quarter 2016: United Kingdom; Comprehensive Quarterly Analysis of Year on Year Performance for All Commercial Beverages Description

Quarterly Beverage Tracker First Quarter 2016: United Kingdom; Comprehensive Quarterly Analysis of Year on Year Performance for All Commercial Beverages

Summary

A sustained strong performance by plain packaged water negated declines in various other soft drink categories. The announced sugar tax took the UK soft drinks industry by surprise resulting in reformulating brands to reduce sugar content during the quarter. European legalization which banned the use of the term ‘probiotic’ has stifled drinking yogurt growth. The success of coffee can be linked to the rise of coffee pods and coffee pod machines.

Key Findings

Carbonates got off to a slow start due to supply chain issues plus the mounting sugar issue, with volumes down for the first quarter. Fruit flavours fared better than non-fruit, as did niche players for this category.

The dairy industry, which is furious after new guidelines issued by Public Health England urged consumers to reduce milk consumption, is seeking government support of its export expansion strategy, including the removal of unnecessary costs and complexity in the certification process and an improvement in inspection procedures.

Growing interest in coffee, aided by the expanding number of on-premise coffee shops as well as convenience shops and forecourts serving the hot beverage fuelled by the ‘on the go’ trend.